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Prices

What does 58 cents mean in a prediction market?

NordCast Learn · 5 minute read

On NordCast, Yes and No prices are shown in cents. A Yes price of 58 cents means the market is roughly implying a 58% chance that the event happens. A No price near 43 cents means the opposite side is priced near 43%.

The two prices do not always add to exactly 100 because markets include spread, liquidity, and early alpha noise. In a mature market with many traders and tight spreads, the price is a stronger signal. In a thin market with only a few users, it is more like an early conversation.

Price is not truth

A market price is a live estimate. It can be wrong, and it can move quickly. The value is that it gives everyone a common number to argue with. Instead of saying “this feels likely,” a user can say “I think 58% is too low because of this source.”

Three questions to ask

  1. How many unique traders are behind this price?
  2. How much volume has traded?
  3. Is the market question clear enough to settle without debate?
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